Has any info been given in previous ASX announcements about the cost of power/electric for the Gulf manganese smelter project? Power costs for ferro alloys is most critical and this is where much of the profits will be made,ie if you've got cheap power. It has 4500kWh to produce one tonne of silicon manganese.
I'm a shareholder of OMH which has huge ferro alloy plant in Sarawak Malaysia, their electric is the cheapest in all of Asia by a wide berth.
I had thought that Indonesia power cost is double what is paid by OM Sarawak at the SCORE project.
However if Gulf Manganese has a special price for power then GMC would be an interesting investment, especially at the current share price.
The cost of manganese is also important, OMH has its own mine in the Northern Territory as well as part of the worlds largest manganese mine in South Africa. ( 100 year mine life).
I will need to do some more research on GMC
GMC Price at posting:
0.7¢ Sentiment: None Disclosure: Not Held
